Rental housing

Demand for rental housing remained high in all municipalities where VVO Group has a presence. As in previous years, the strongest demand centred on smaller apartments, that is, studios and one-bedroom apartments.

The financial occupancy rate remained at a good level, standing at 97.4 (98.4) per cent for the review period. At the end of the review period, 527 (301) apartments were vacant due to renovations. The tenant turnover rate, which includes internal transfers, remained at the same level as in the corresponding period of 2014, that is, 6.8 (6.7) per cent.

The average rent for the Group's 26,808 (26,218) market-based rental apartments (Lumo) was EUR 13.52 (12.91) per sq m per month during the review period, and EUR 13.80 (13.17) at period end. The corresponding figure for the 13,952 (14,055) apartments rented at cost price (VVO) was EUR 12.58 (12.27) during the review period and EUR 12.77 (12.41) at period end.

Demand for rental housing remained brisk. At the end of the review period, there were 18,774 (20,284) active applications. (Applications are active for three months.) The average number of active applications per rental agreement termination was 19.0 (20.9). 16,476 (17,709) new rental housing applications were received during the review period.

The average period of tenancy remained high, at 5.9 (5.9) years. Thanks to successful rental control and our housing advisory service, the proportion of annual turnover accounted for by rent receivables stood at 1.2 (1.2) per cent at the end of the period.

During the review period, Lumo residents launched a car sharing pilot in the Suurpelto district of Espoo and the Hervanta district of Tampere. Lumo and 24Rent's half-year pilot is seeking to identify residents' interest in ecological motoring. The housing cooperatives keep their shared car in a marked parking space, from where it can be reserved and used by residents.

Contracts with DNA and Elisa for a faster broadband connection came into force on 1 January 2015: the rent for almost every one of our Lumo and VVO apartments now includes a 10 Mbit broadband connection.

The VVO Group presents an annual award to the residents of a VVO house for exemplary community spirit and management of their shared living environment. The 2015 House of the Year was chosen at the National Housing Day. This biennial national event brings together the chairpersons of VVO's house committees to discuss common issues. Koulukatu 1 in Lappeenranta was chosen as VVO House of the Year 2015.